Valassis faces contract lawsuit

Media and marketing services company Valassis Communication Inc. is facing a breach-of-contract lawsuit filed by a paper manufacturer.

Fraser Papers Ltd. Filed the suit last week in US district court, alleging that Valassis owes it more than $900,000 for nearly 2 million pounds of specialty paper it shipped to the a North Carolina Valassis facility.

Fraser alleges that Valassis ignored its demands for payment in August and September. The lawsuit says the paper ordered was to be used in retail inserts.

Valassis has until Dec. 30 to respond to the complaint. The company did not return calls.